2014 ANNUAL REPORT Dear Fellow Shareholders: JetBlue delivered strong financial results in 2014 including: ✓✓Generating revenues of over $5.8 billion ✓✓Growing net income by 38% year over year to an annual record of $232 million (which excludes the $241 million gain from sale of our subsidiary LiveTV). This marks our sixth consecutive year of profitability ✓✓Continuing to strengthen our balance sheet and lowering our net-debt-to-capital ratio by 6.5 points ✓✓Growing our return on invested capital, or ROIC, by one percentage point to 6.3% Our financial performance was rewarded by the market as our stock price increased nearly 85% during 2014, outpacing the S&P 500’s yearly gain. CEO Transition In September 2014, we announced the retirement of Dave Barger effective February 15, 2015. Dave’s leadership at JetBlue, spanning over 16 years, shaped the company from start-up into a vibrant, exciting, and innovative organization committed to our mission to “inspire humanity” while fostering a unique culture built on a solid foundation of values. Dave has furthered the lives of so many Crewmembers, customers, partners and friends. It is an honor and a challenge to succeed Dave; he’s set a high bar. Culture Matters Culture is the foundation of our success and is what makes JetBlue unique. It’s that culture that inspires our 16,000 Crewmembers to deliver outstanding customer service each day while embodying our key values. In 2014, we were once again recognized for service excellence by J.D. Power, our tenth such award in a row! This recognition demonstrates the importance of our distinctive service and humanity driven culture and the difference each of our Crewmembers make. Further, we can see the benefits of our culture in our Net Promoter Scores (NPS). I firmly believe higher NPS scores translate to increased customer loyalty and a revenue premium. Finally, the benefits of our unique culture extend into our communities; in 2014, JetBlue Crewmembers volunteered more than 100,000 hours to a wide array of local charities that truly make a difference. Differentiated Product Although the specifics of our product offering have and must continue to evolve, our core focus on providing an excellent product and service at a reasonable price will not change. We remain focused on serving the underserved – both leisure and business customers who are not rewarded for loyalty by network airlines, seek more than what ultra-low cost carriers are willing to provide, and value a product with superior personal space and complimentary entertainment. We will continue to innovate and invest in what matters most to our customers, such as Mint, our premium transcontinental service launched between New York (JFK) and Los Angeles (LAX) in June and between New York (JFK) and San Francisco (SFO) in October. Mint offers 16 seats with a fully lie-flat bed, an upgraded live television system with, among other features, 100 channels of DirecTV, complimentary food and beverage service and amenity kits – all delivered by exceptional inflight and airport Crewmembers. Customer response has been astounding as reflected by strong NPS and year-over-year margin gains which are well above those of our other transcontinental markets. Our launch of Fly-Fi™, real broadband internet in the sky, is another example. This onboard innovation delivers an online experience much like you would expect at home or work. While other airlines look to charge customers for slower, bandwidth constrained wifi, our basic in-flight broadband internet has the ability to be used by everyone onboard and is provided free of charge. We plan to cover the broadband costs of Fly-Fi™ in 2015 through corporate partnerships. Over time, we will be able to deliver more personalized and relevant content to our customers. High-Value Geography JetBlue’s high-value network continues to expand and diversify. We continue to maintain and grow a strong presence in highly populated, lucrative travel markets. This targeted growth has been and will continue to be accretive to shareholder returns. In 2014, we started service to five new BlueCities; by the end of the year we served 87 BlueCities in 18 countries. All six of our focus cities were profitable in 2014. We see terrific opportunities for growth in the years ahead. As we look to 2015, most of our capacity growth is expected to be in the transcontinental market as we continue to rollout Mint and in Fort Lauderdale-Hollywood (FLL), which remains a central component of our long term, domestic and international growth strategy. JetBlue landed the first flight on FLL’s new runway in September and we look forward to benefiting over the next few years from major enhancements being made by the Broward County Aviation Department at that airport. Another 2014 investment highlight was the opening of T5i, our international facility at JFK. T5i provides international customers the ability to arrive or transfer to other JetBlue flights within one terminal and includes six international arrivals gates and state-of-the-art customs and federal inspection facilities. Our facilities at JFK epitomize accessibility and convenience in New York with the maximum time to any gate from the TSA checkpoint of approximately five minutes. Competitive Costs Maintaining our cost advantage over larger legacy airlines is an imperative to profitable growth without compromising our ability to provide an industry-leading product at an attractive fare. We have initiatives across the company to manage our costs and our 16,000 Crewmembers are energized to drive results from them. These initiatives range from fleet investments (like the introduction of Sharklets and Airbus A321s), to fuel conservation programs (such as single-engine taxi and a new flight planning solution), to maintenance changes (including expanding power-by-the-hour agreements and reducing inventory) to leveraging IT investments (such as our customer technology refresh). Managing Our Capital We continue to strengthen our balance sheet while investing for the future. In 2014, we reduced our overall debt balance while growing our fleet, improved our net-debt-to-capital ratio, and increased our liquidity including adding to our lines of credit and unencumbering additional aircraft. As we look into 2015, we anticipate lower non-aircraft capital expenditures as we reap the benefits from prior investments such as T5i and technology programs. Additionally, we intend to pay for 2015 aircraft deliveries with cash on hand rather than with debt financing and will look to opportunistically pre-pay other debt. Finally, in June we completed the sale of our wholly-owned subsidiary LiveTV to Thales Group which, among other financial benefits for JetBlue, lowered ongoing unit costs and reduced future capital expenditure requirements. Further, the proceeds from the sale were used to pre-pay nearly $300 million in debt, thereby reducing future interest expense. Additionally, JetBlue maintains its deep relationship with LiveTV, enabling us to continue to provide customers differentiated, industry-leading inflight entertainment and connectivity products. A Look Ahead At our 2014 Investor Day, we detailed our goal to improve our return on invested capital (ROIC) to greater than 10% by the end of 2017. We outlined a number of specific initiatives including: •✓ Fare Families: Beginning in the second quarter of 2015, customers will be able to choose between three fare options. The first will be designed for customers who do not plan to check a bag, while the latter two will offer one and two free checked bags, respectively, along with other benefits, such as additional TrueBlue points and increased flexibility. Fare families will enable JetBlue to tailor its offering to individual customers’ needs in a simple and transparent way while generating more than $200 million in incremental operating income by 2017. •✓Cabin Refresh: Starting in 2016, JetBlue will refresh its A320 aircraft with cabin amenities similar to those on our A321 fleet. Specifically, the cabin will offer larger seatback screens with more entertainment options and power ports accessible to all customers. The reconfigured cabin will preserve JetBlue’s product advantage while helping to generate higher returns. Using lighter, more comfortable seats, JetBlue will be able to increase the number of seats on its planes while continuing to offer the most legroom in coach amongst all our domestic competitors. •✓Other Strategic Initiatives: We expect incremental operating income from the evolution and maturation of previously announced programs, such as Even More, Mint, Fly-Fi, Getaways, partnerships and a new Co-Brand credit card agreement. •✓Cost Control: We expect our non-fuel unit costs to grow less than two percent in 2015 and over time. We anticipate benefiting from cost efficient growth from our new A321 aircraft and a Sharklet and cabin retrofit of our A320 fleet, offsetting costs from more heavy maintenance checks and landing gear overhauls. •✓Operational Performance: We operate in some of the busiest airspace in the country, which makes it all the more important for us to operate efficiently. To this end, we’ve made and will continue to make investments to improve our operational performance and reliability. We have teams dedicated to refining all aspects of the travel process, which we expect to improve NPS and reduce costs. We made good progress on improving our operational performance in 2014 and we intend to continue to build on that success. •✓Targeted Growth: We are a growth company focused on margin and return accretive expansion. We will not grow simply to capture market share. Consequently, most of our growth is concentrated from our focus cities as they benefit from economies of scale. •✓Fleet Optimization: In light of the capital efficient growth provided by the additional seats from our cabin refresh program and as a way to enhance free cash flow, we chose to defer 18 Airbus aircraft deliveries from 2016-2018 to 2022-2023.